How to start online food delivery business like Zomato or Foodpanda in India?
- By codenscripts
- April 17, 2018
- Comments Off on How to start online food delivery business like Zomato or Foodpanda in India?
Food Delivery Startup Requires!
It requires lot of research to make any business to move through the success. Only through setup of the delivery business or the Food Delivery App Development, you can not expect to touch the skies of success. Some actions & reactions would be required to ensure that it would be a successful business venture.
Start Online food delivery business in India
Facts Regarding the Startup Business
In India, if you are starting a online food ordering and delivery business like Foodpanda, you do not need any licensing ,all you just need is to be a registered firm.
You need to sign a MOU(Memorandum of understanding) with all your merchants on the terms ,% Commission,and quality of food assurance form ,which is safer to note down their food licence number in MOU .
Things to do before Starting the Food Delivery Business
If Your are looking to start your Own Food Delivery Startup Business in your hometown, all you need is to do research regarding the place you want to start it , for example, what is the delivery diameter,how many different food outlets are available, how many people order from home etc. Once when you are done , you would need few things thereafter :
- Total of 45 k a month operation cost to run ,so 45 k X 6 Months = 2.7 lacs. Profit = total revenue – operation cost= 64 k – 45 k = 19,000/month (now after few months start scaling it to other areas by increasing restaurants and delivery boys )
- You need to get at least 10-20 orders a day min of Rs 500/- to make up the operating cost . Let us say with a commission of 60% that is you need to get Rs 80/- per order. (30*80=2400/day = around 72k/month (total revenue in commissions)
- 2 delivery boys with 2 vehicles initially get 2nd hand to workout .
- Online Food Ordering website with App to host your products will take around few months to roll out by a professional developer team.
- A small team with 2 people can work to manage the orders on web
- Digital Marketing +SMS Blasting in your city where you wish to start (5–10 k a month for initial 3 months)
Steps To Follow to Start Online Food Delivery Business
1) Mobile App & Website should be Created for the eye cathy keyword Food business name.
2) Approach restaurants and pitch to them for generating additional revenue from home delivery orders. Tie up with good brands that have potential to generate good revenue for you. Ensure you tie up with all arrays of cuisine and price point restaurants.
3) Choose to go for a fixed price commission. Your revenue Is commission derived from any order you generate for these restaurants. The commission is a % on the order value usually anywhere between 5-15%.
4) Branding of your brand is very essential . You will need to choose a combination of social media and seo to achieve this or some offline marketing options.
And finally a spirit for entrepreneurship and Hard work which can lead you to success !!!
